Reference no: EM132551439

Question 1: Presented here is a partial list of accounts for the total governmental funds of the City of Bukowy. What worksheet adjustments would be required to convert this information to information that the city needs for preparing its government-wide financial statements for 20X3? The city uses the consumption method to account for materials and supplies. The city does not use the modified approach to account for infrastructure assets.

Inventory of Materials and Supplies, January 1        $ 300,000

Inventory of Materials and Supplies, December 31      278,000

Expenditures-Capital Outlay-Buildings                      4,000,000

Expenditures-Capital Outlay-Infrastructure                 8,300,000

Expenditures-Capital Outlay-Leased Equipment                800,000

Other Financing Sources-Bond Anticipation Notes           12,000,000

Other Financing Sources-Capital Leases                             740,000

Buildings, January 1                                                30,000,000

Infrastructure, January 1                                          80,000,000

Furniture and Equipment, January 1                             10,800,000

Useful Life-All Buildings                                                15 years

Useful Life-Infrastructure                                            30 years

Useful Life-All Furniture and Equipment                              5 years

• No capital assets were sold during the year. No depreciation expense is reported on capital assets acquired in the current year. Accrued interest payable on the capital lease at December 31 was $22,000. Accrued interest payable on the bond anticipation notes was $480,000.